Assessing Material Management Practices On Construction Site In Nigeria (A Case Study Of Ado Ekiti)

Assessing Material Management Practices On Construction Site In Nigeria (A Case Study Of Ado Ekiti)
Abstract
Construction materials are vital components of the total construction cost (about 60%) of the total project cost. Based on their importance, this study assessed management strategies adopted in construction sites in Ado Ekiti Municipal. The objectives were to examine the construction materials management strategies in practice on construction projects, determine the possible factors affecting choice of materials for construction project, and to assess the impact of compliance with standard materials management strategies on project success. Questionnaire survey administered to 52 construction stakeholders in construction organisations in Ado Ekiti Municipal formed the data collection instrument. Data analysis involved Mean Item Score, percentages and Coefficient of Variation. Findings of the study revealed durability, cost and availability are significant determinants of construction material choices. Materials management strategies adopted include stock control, site planning, quality control and adequate supervision. Adherence to effective material management correlates flowing project delivery by ensuring effective project planning. Recommendations are directed towards the need to consider responsible sourcing in pursuance of the global sustainability agenda in material procurement and usage.
Table of Content
- Title Page
- Certification
- Dedication
- Acknowledgement
- Table of Content
- List of Tables
- Abstract
Chapter One:
Introduction
- 1.1 Background of the Study
- 1.2 Statement of the Problem
- 1.3 Objective of the Study
- 1.4 Research Questions
- 1.5 Research Hypothesis
- 1.6 Significance of the Study
- 1.7 Scope of the Study
- 1.8 Limitation of the Study
- 1.9 Definition of Terms
- 1.10 Organisations of the Study
Chapter Two:
Review of Literature
- 2.1 Conceptual Framework
- 2.2 Theoretical Framework
- 2.3 Empirical Review
Chapter Three:
Research Methodology
- 3.1 Research Design
- 3.2 Population of the Study
- 3.3 Sample Size Determination
- 3.4 Sample Size Selection Technique and Procedure
- 3.5 Research Instrument and Administration
- 3.6 Method of Data Collection
- 3.7 Method of Data Analysis
- 3.8 Validity of the Study
- 3.9 Reliability of the Study
- 3.10 Ethical Consideration
Chapter Four:
Data Presentation and Analysis
- 4.1 Data Presentation
- 4.2 Analysis of Data
- 4.3 Answering Research Questions
- 4.4 Test of Hypotheses
Chapter Five:
Summary, Conclusion and Recommendation
- 5.1 Summary
- 5.2 Conclusion
- 5.3 Recommendation
- References
- APPENDIX
- QUESTIONNAIRE
Chapter One
Introduction
1.1 Background of the Study
Construction industry relates to organized economic activities which include assembling materials, labour and other construction resources like plants, overheads and profits; and managing all these inputs towards achieving desired goals and objectives (Ojo, 2005; in Adafin, Daramola and Ayodele (2010). The fact that the Nigeria construction industry continues to occupy a significant position in nations economic, (Aibinu and Jagboro, 2017), there is need to improve the efficiency, quality, productivity, administration and management of construction activities and resources with adequate solutions to the problems confronting the industry.
Construction materials refer to goods, fittings, component and accessories used in construction project (Mustaph and Rashid, n.d). Of all construction resources, emphasis is mostly placed on construction materials, because the cost of materials has been identified to account for a major cost of the overall construction cost (Stukhart, 1995; and Bernold and Treseler, 1991).
Material management can be defined as a process that coordinates planning, assessing the requirement, sourcing, purchasing, transporting, storing and controlling of materials, minimizing the wastage and optimizing the profitability by reducing cost of material. Baldva (1997) noted that Materials management is a process for planning, executing and controlling field and office activities in construction. While Eduardo (2017) viewed Materials management as the system for planning and controlling all of the efforts necessary to ensure that the correct quality and quantity of materials are properly specified in a timely manner, are obtained at a reasonable cost and most importantly are available at the point of use when required.
According to Khyomesh and Chetna, (2011) Building materials account for 60 to 70 percent of direct cost of a project or a facility, the remaining 30 to 40 percent being the labour cost. Therefore, efficient procurement and handling of material represent a key role in the successful completion of the work. It is important for the project manager to consider that there may be significant difference in the date that the material was requested or date when the purchase order was made, and the time at which the material will be delivered. These delays can occur if the contractor needs a large quantity of material that the supplier is not able to produce at that time or by any other factors beyond his control. Chan (2017) noted that the project manager should always consider that procurement of materials is a potential cause for delay. The management of Construction processes to reduce, reuse, recycle and effectively dispose of wastes has a serious bearing on the final cost, quality, time and impact of the project on the environment. (Dania, 2007)
The goal of materials management is to ensure that construction materials are available at their point of use when needed. The materials management system attempts to ensure that the right quality and quantity of materials are appropriately selected, purchased, delivered and handled on site in a timely manner and at a reasonable cost, (khyomesh and chetna 2011). The scope of materials waste is vast, and this waste occurs in the industry irrespective of the size of the building firm, instructions about handling, storage and stacking are not provided with the goods or sent in advance to the site (Abdulazeez, 2000).
Materials management in construction is also regarded as the efficient use of goods and equipment before, during and upon completion of a building process. Petra (2013) observed that Successful materials management requires the participation of all persons involved in a construction process. For Materials may deteriorate during storage or get stolen unless special care is taken. Delays and extras expenses may be incurred if materials required for particular activities are unavailable. Ensuring a timely flow of materials is an important concern of material management (Shah, 1993).
Thus, Materials management is an important element in project management. Materials represent a major expense in construction, so minimizing procurement costs improves opportunities for reducing the overall project costs. Poor materials management can result in increased costs during construction. On the other hand, efficient management of materials can result in substantial savings in project costs. If materials are purchased too early, capital may be held up and interest charges incurred on the excess inventory of materials (Wendy, 2006).
Johnston (2001) opined that Material Management is divided between head office and site in major construction companies. The selection, pricing, ordering, preparation of schedules and payment accounts are dealt with at head office, learning the receipt storage, protection and use of materials to management on site. Due to the high cost of materials, if not properly managed during the period of execution of contract can lead to abandonment of project.
In his submission, lan (2008), opined that the rate at which materials are been squandered on site due to poor management is getting too rampant in our society and if not curbed, it can jeopardize the future of our construction industry. This is particularly true in view of the fact that mismanagement of construction resources (i.e materials, plants and labour) affects the continuity and profit margin of such project and if not checked can lead to technical insolvency or bankruptcy.
Therefore, attention must be paid to how materials are been procured, stored and managed in order to achieve perfect work, effective handling of materials, right usage of materials and control of construction resources.
This, explain the reason why Johnston (2001), noted that Materials management begins with planning and estimation, these can be achieved through proper site co-ordination measure of reducing wastes, the location and security of materials on sites, procurement of quality materials as being specified and effective administration of site together with quality control.
Lee and Donald (2001), observed that the problem associated with the absence of proper materials management on construction site could be wastage of resources making contract cost more than budget sum, reduction of profit margin of the contractor ineffectiveness of project handlings reduction of output e.t.c. and if these are not properly taken care of it might be disastrous to the firm.
No construction project can commence and proved effective without an adequate supply of raw materials, apart from the careful planning of materials required by the builder, it is to his advantage to foster a good relationship with the suppliers, many of whom will have been selected due to their fulfillment of orders to the standard required and meeting of delivery times over a number of years (Pheng and Chuan, 2001).
Besides the builder’s own suppliers, the architect may specify that a certain supplier must be used and these are termed “nominated supplier” whatever the type of suppliers to be used, the information passed to them and receive from them is the same and in all but in the smallest firms this information and document will pass through the buyer. (Yang, et al., 2003).The buyer must also ensure that the architect receives any samples from the suppliers in the very early stage of contract procedure to satisfy him of the relative merits of the material. It may, for example, not be possible to obtain the specified material in time in conjunction with the building programme, but by obtaining samples of similar products the architect may decide on a new form of construction or design to prevent hold ups.
In most cases, a buyer will send enquiries to two or three suppliers or in some cases, direct to manufacturers for such items as sand, gravel, brick, block, cement, e.t.c, regarding prices, delivery dates and such, for use at the estimating stage of the project. This will enable the estimator to use the figures obtained in the preparation of the tender figure.
To enable quick checks to be made on delivery or non-delivery of materials a card index system is generally adopted, this enables the purchasing or procurement department to keep a constant eye on the supplies. These cards contain all necessary information and are best filed in date offer for case of reference. Even when bulk delivers have been placed according to programme, by taking the extra time and trouble to write out a card for each delivery the chance of losing sight of the delivery date is very much reduced, as regular checks will be on the file. As materials are received, the information will be recorded on the card.
Construction projects can be accomplished by utilizing management processes and these processes include planning, organizing, executing, monitoring, and controlling (Ahuja et al 1994 in Al Haddad 2006). During any construction project the three inter-related factors of time, cost, and quality need to be controlled and managed. Successful completion of projects requires all resources to be effectively managed. Prabu and Baker, (2006) regard Materials management as a means to achieve better productivity, which should be translated into cost reduction. For, according to Ademeso and Windapo (2008), poor planning and control of materials, lack of materials when needed, poor identification of materials, re-handling and inadequate storage cause losses in labor productivity and overall delays that can indirectly increase total project costs. Effective management of materials can reduce these costs and contribute significantly to the success of the project.
Materials management functions include planning and taking off materials, vendor evaluation and selection, purchasing, expenditure, shipping, material receiving, warehousing and inventory, and material distribution. (Narimah 2011), Almost 60% of the total working capital of any industrial organization consists of materials costs (Dey, 2001). Materials management can only produce what it should with the right quantities of the right material at the right time (Arnold and Chapman 2014). Thus, any improper handling and managing of materials will cause a huge effect on the total project cost, time and quality. There is a need to explore on the area of materials management, the issues relating to materials management problems
1.2 Statement of the Problem
The present state of the building construction industry in Nigeria reflects various problems ranging from delays in project execution/delivery, substandard work, disputes, to cost and time overrun as a result of material shortage and wastages on sites, theft and displacement of materials on sites, as well as poor accounting and security system of the concerned sites/firms (Adafin, 2011). According to Dahiru (2010), lack of materials not only causes delays, but a consequent decrease in productivity and resulting to cost overruns. This is no doubt lack of effective material management is one of the major cause of this problem. Failure of the project manager to make available materials need could lead to delay.
Today’s construction industry demands prudence in all aspects of materials management, especially on cement. This is because contract acquisition is becoming increasingly competitive; hence the need for contractors to be more prudent in handling and utilisation of materials. Several projects experience cost and time overruns in Nigeria due to several factors such as clients’ behaviour, contractors’ faults, material price fluctuations, poor material management practices, and so on (Achuenu & Kolawole, 2015); and according to Adeagbo & Kunya (2003), materials constitute more than 60 % of the total cost of projects. Cement is one of the most expensive, easily stolen and unstable construction materials in Ado Ekiti today, owing to the fact that most of the cement used comes from West African Portland (Lafarge) and Dangote Cement factories with its attendant high cost. Also, several buildings are collapsing due to poor quality of work. This study sets out to appraise the general level of compliance of selected contractors in Ibadan towards cement management practices. This is targeted to assess by how much compliance or otherwise this affects the general cost of projects and also provides a current assessment of material management practices amongst contractors in Ado Ekiti municipal.
1.3 Objective of the Study
The main objective of this study is an assessment of the impact of material management practices on construction site in Nigeria (a case study of Ado Ekiti).
Specifically the study aims to :
- Determine method of material procurement practices on construction site
- Determine the causes of material wastage on building construction sites
- Identify the factors affecting effective material management on building construction site
- Suggest measures for effective material management on building construction site.
1.5 Research Questions
- What is the method of material procurement practices on construction site?
- What are the causes of material wastage on building construction sites?
- What are the factors affecting effective material management on building construction site ?
- What are the measures for effective material management on building construction site ?
1.5 Hypothesis of the Study
The following hypothesis was formulated and tested in order to achieve the research objective;
- H01: effective material management does not have any impact in the cost of operation in the construction site
- H02: effective material management does not contribute to the success of an organization
1.6 Significance of the Study
A major part of professional builder’s responsibility in building production management entails the selection, purchase, testing, storing and use of construction materials. As noted earlier, materials are a major expense in construction, thus the ability of contractor to manage his team and the flow of supplies are absolutely necessary for the successful project delivery and profit maximization. This requires the architects and engineers to specify exact supplies during preconstruction to avoid overstock. The construction management team is required to buy the correct amount of material at the right time to avoid cash flow, storage and deterioration problems. Subcontractors need to keep track of inventories, while suppliers are required to deliver as ordered and on time. The post-construction team has to evaluate remaining materials for reuse and recycling purposes.
However, this is not easy; First, if materials are purchased early, capital may be tied up and interest charges incurred on the excess inventory of materials. Even worse, materials may deteriorate during storage or be stolen unless special care is taken. For example, electrical equipment often must be stored in waterproof locations. Second, delays and extra expenses may be incurred if materials required for particular activities are not available. Accordingly, ensuring a timely flow of material is an important concern of project managers. (Harris and MacCaffer, 2001)
Thus, to determine the misery behind proper materials management in construction sites in Nigeria, so as to guide against project delay and abandonment, also to create a standard method based on size of construction site to control cost of contract and materials wastage. It is not only desirable but necessary to undertake careful study of material management. Additionally, since Proper material management will benefit the firm in terms of increase profit margin, quick execution and reduce cost of the project. This brings the need for an evaluation of materials management in Nigeria construction industry.
1.7 Scope of the Study
This work focused on materials management practices in Nigeria’s construction sites. The study covered factors militating against materials management, measures for effective materials management on construction firms. The study was limited to only building construction sites in Ado Ekiti Municipal, therefore not all the country was covered. Site waste management was not part of this research.
1.8 Limitation of Study
Financial Constraint
Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
Time Constraint
The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work
1.9 Definition of Terms
Construction Site:
The physical location where construction activities take place, involving the assembly and installation of various materials, equipment, and resources to complete a construction project.
Nigeria:
The country where the case study is conducted, located in West Africa, known for its diverse culture and a significant player in the African construction industry.
Ado Ekiti:
A specific city or location within Nigeria chosen as the focal point for the case study, where the assessment of material management practices will be conducted.
Assessment:
The systematic evaluation and analysis of material management practices on the construction site to determine their efficiency, effectiveness, strengths, weaknesses, and areas for improvement.
Case Study:
A research method used to gain an in-depth understanding of a specific subject (in this context, material management practices on a construction site in Ado Ekiti) by examining it within its real-life context.
Construction Project:
A temporary endeavor undertaken to create, improve, or renovate structures, buildings, or infrastructure, involving material management practices to ensure the project’s successful completion.
Best Practices:
The most effective and efficient methods, techniques, or strategies for material management on construction sites, identified through industry standards or research findings.
Inventory Control:
The process of managing and monitoring the quantities and availability of construction materials on the site to ensure proper stock levels and prevent excess or shortage.
Procurement:
The process of acquiring construction materials, equipment, and services required for the project, including sourcing, purchasing, and contract management.
Logistics:
The coordination and management of the movement of materials, equipment, and resources on the construction site to optimize efficiency and minimize delays.
Waste Management:
The proper handling and disposal of construction waste and surplus materials to minimize environmental impact and maximize resource utilization.
Health and Safety:
Refers to the implementation of practices and protocols to ensure the well-being and protection of construction site workers and visitors during material handling and other activities.
Project Management:
The overall planning, organization, and control of construction activities to achieve project objectives, including effective material management.
1.10 Organization of the Study
This research work is organized in five chapters, for easy understanding, as follows.
- Chapter one is concern with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study.
- Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature.
- Chapter three deals on the research design and methodology adopted in the study.
- Chapter four concentrate on the data collection and analysis and presentation of finding.
- Chapter five gives summary, conclusion, and recommendations made of the study.
Chapter Five
Summary, Conclusion and Recommendations
5.1 Summary of the Study
The research has examined materials management on building construction sites. Findings shows that procurement of materials with requisition from site is more common with the contractors and its best practice of materials procurements for construction sites for effective materials management. The study also establish that the following: damage by mishandling and re-work due to poor workmanship, inadequate storage facilities on site, delay in material supply, inadequate supervision, poor site security, weather and other natural occurrence, alteration of designs, over ordering of construction materials, theft and vandalism are the causes of material wastage on building construction sites and the factors affecting effective material management on construction sites are as follows: design changes, lack of proper work planning and scheduling, inefficient workforce, fraudulent practices /negligence and corrupt practices, lack of security personnel, waste on construction site and lack of or inadequate storage facility. Furthermore, the research identifies the following as measures for effective material management on building construction site: employment of skilled craftsmen and operators, training of both management and other staff, employment of store keeper and security personnel; procurement requisition to specify quality, quantity and delivery time; ensuring proper planning and scheduling of building works, introducing material management at the design stage and consideration of weather conditions.
5.2 Conclusions
The following conclusion could be drawn from the research work;
- Materials management processes require a transformation to improve the overall in handling of materials for more efficiency and effectiveness on the construction site. This is because poor handling of construction materials affects the overall performance of construction projects in terms of cost, time, quality and productivity. The minimization of materials wastage during the construction phases is important in order to avoid loss of profits.
- Only by proper management of materials in construction sites can aids materials management in Nigeria construction sites, as it aids the speedy completion period, it saves time of execution, it gives high quality works and reduces the materials wastage.
- Materials management process improves the success rate of project planning and execution thus lowering the project cost.
- From the projects surveyed, it had been found out that improper material management on site needs be discovered and prevented in order to achieve the desired output, such as; poor site planning, lack of competent operations, inadequate security, wrong ordering of materials, incompetence of the site manager/resident engineer, corrosion and decay of materials when not properly protected from weather, availability of space on site for storing fragile and valuable materials, inexperience personnel, difficulty to transport materials around sites e.t.c. if all these could be put into consideration before resuming any site and all necessary or adequate provisions are been made to prevent the occurrence of these; proper materials management will benefit the firm in terms of increase profit margin, quick execution and reduce cost of the project.
5.3 Recommendations
Based on the results of this study, the following recommendations are made to foster effective materials management practice of construction projects in Nigeria:
- The contractors should ensure effective control of materials from design to construction stage so as to adequately reduce processes that can lead to wastages in construction.
- Construction firms need to evolve better means and facilities in which building materials could be well-stored with pallets at the base or as may be applicable to prevent undue damage which may lead to wastages.
- The designer should co-ordinate dimensions between materials specified during design and those procured for use at sites so as to guide site personnel on how to prevent avoidable waste in the use of various types of materials during execution of construction projects.
- The construction firms should create a functioning section that would see to the appraisal of the plan and compliance with its provisions through capacity building and manpower development.
- Material management should be practiced on all sites and by all categories of building construction firms, whether large, medium or small.
- There should be a proper planning of material management right from the inception of project execution and strict compliance with the project bill of quantities, schedule of materials, construction programme, specification, proper stock accounting and security systems is essential so as to ensure timely project execution and standard work delivery within reasonable cost, time and quality.

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